- Element 25 (E25) said the three months ending September 30 was a “milestone” quarter after sending off first shipments from its Butcherbird project in WA
- Two shipments were delivered to offtake partner OM Materials, and represented a key step in E25’s goal of becoming a significant producer of high purity manganese sulphate
- The company is currently accelerating plant design and optimisation work to complete a pre-feasibility study in the first half of next year
- At the end of the quarter, Element 25 had $29.3 million in cash
- Company shares are down 1.67 per cent to trade at $1.77
Element 25 (E25) said the three months ending September 30 was a “milestone” quarter for the company.
The managenese miner completed its first shipment of manganese concentrate from the Butcherbird manganese project in mid-July.
The shipment was delivered to E25’s offtake partner OM Materials, which also received a second shipment of 27,000 tonnes a few months later.
This represented a key step in the company’s goal of developing the WA-based project as a significant producer of high-purity battery-grade manganese sulphate.
Element 25 has since moved to larger shipments of more than 50,000 tonnes for more competitive shipping tariffs and establishing a laydown area in Port Hedland to build stockpiles.
“This was an exceptional team effort to achieve first ore shipments from the project in July after completing the PFS fourteen months earlier,” CEO Justin Brown said.
“This was an important milestone for the company’s progress as it now optimises its production on the way to becoming a globally significant producer of high quality manganese concentrate.”
Element 25 is focused on its multi-stage development strategy which includes the stage two expansion of the concentrate business to increase production. This will be followed by a stage three development to convert the concentrate material into high-purity manganese sulphate (HPMS) for electric vehicle batteries.
The company is also accelerating plant design and optimisation work to complete a pre-feasibility study in the first half of next year.
Financially speaking, E25 received $5.44 million in customer receipts from the ore shipments. It spent about $8.9 million on production and roughly $1.5 million was spent on staff and admin costs.
It invested $118,000 on property, plant and equipment and another $109,000 was put towards financing activities.
At the end of the quarter, Element 25 had $29.3 million in cash.
Company shares were down 1.67 per cent to trade at $1.77 at 12:19 pm AEDT.